Transcription

2 Rethinking Affordable Housing Strategies I II What are the housing challenges in Washington State? What is a winning affordable housing playbook? III Where does Washington go from here?

3

4 I What are the housing challenges in Washington State?

5 I What are the housing challenges in Washington State? Housing costs are high and continue to rise Several factors contribute to the high cost of housing Housing challenges vary across and within metro areas

8 And the median home price in the state has increased over 49% in the last 10 years, from $136,000 to $203,800 $250,000 Median home price from 1995 to 2003 Source: Washington Center for Real Estate Research $200,000 $150,000 $100,000 $50,000 $

10 I What are the housing challenges in Washington State? Housing costs are high and continue to rise Several factors contribute to the high cost of housing Housing challenges vary across and within metro areas

11 Washington s desirability boosts housing prices From The Seattle Times, May 13, 2004 Source: National Policy Research Council, 2004 According to America's Best Cities and States: The Annual Gold Guide to Leading Rankings, Seattle ranked 11th among cities while Washington state was fifth among states.

12 The state s high tech economy also creates a hot real estate market The economic boom of the 1990s raised employment and homeownership in most areas, but also drove up rents more than one and a half times faster than inflation (HUD, 2000) New economy housing markets are faster and more extreme versions of traditional housing markets (Landis, Elmer, and Zook, 2001) A high-tech presence significantly contributes to critical housing problems for low and moderate income renters and owners (Quercia, Stegman, and Davis, 2001)

13 A high-tech presence significantly contributes to critical housing problems for low and moderate income renters and owners High-paying tech jobs going to highly educated people Raises housing prices Low income households and those with less education see their incomes fail to keep up with inflation Developers in fast-paced, high-tech economies have focused on the high end market Leaves fewer choices for low and moderate income households (Quercia, Stegman, and Davis, 2002)

14 For many families, wages are insufficient to keep pace with housing costs. In Washington, 86 hours must be worked per week at minimum wage to affordably rent a 2-bedroom apartment Source: National Low Income Housing Coalition, 2003 Rank State Hours Needed 26 Wisconsin Vermont New Mexico Rhode Island Missouri Washington Indiana Kansas South Carolina South Dakota Tennessee 81

17 I What are the housing challenges in Washington State? Housing costs are high and continue to rise Several factors contribute to the high cost of housing Housing challenges vary across and within metro areas

18 The entire state faces a rental housing challenge: No county has a a ratio of affordable housing units to extremely low income renter households over.74 Very high demand for affordable rental housing

19 Homeownership is also unaffordable throughout the state: Very low income owners average housing cost burdens are at least 50% in every county Very high demand for affordable owner housing

20 But challenges vary Differences in income levels, poverty rates, and housing costs mean that the nature and extent of the housing challenge differs across the state

21 Household incomes in Washington metro areas vary across the state West Coast Metros In metros like Seattle, high incomes drive up the cost of housing Seattle/Tacoma/Bremerton Portland/Salem Richland/Kennew ick/pasco United States The 25 West Coast Metros Bellingham Spokane Yakima Median HH Income for the 25 West Coast Metro Areas $0 $10,000 $20,000 $30,000 $40,000 $50,000 $60,000 $70,000 Source: U.S. Census Bureau, 2000

22 While poverty rates for the state are relatively low, some metros fall behind Seattle/Tacoma/Bremerton Portland/Salem Spokane United States West Coast Metros Richland/Kennewick/Pasco In metros like Yakima, high poverty rates also make housing unaffordable for many The 25 West Coast Metros Bellingham Poverty Rates for the 25 West Coast Metro Areas Source: U.S. Census Bureau, 2000 Yakima 0.0% 5.0% 10.0% 15.0% 20.0% 25.0% 30.0%

23 The Seattle metro area: Looking closer

24 Although the Seattle/Tacoma metro s overall poverty rate is low, concentrated pockets of poverty still exist People experiencing high or extreme levels of poverty are found in these neighborhoods within the Seattle metro area Individual poverty rates by census tract Source: U.S. Census, 2000 Less than 10% 10%-19.9% 20%-29.9% 30%-39.9% More than 40%

25 Minority populations are also concentrated in this region Neighborhoods with a majority of non-white individuals are found here Percent of Non- White individuals Source: U.S. Census, 2000 Less than 10% 10%-24.9% 25%-49.9% 50%-74.9% More than 75%

27 Strong markets versus weak markets: Seattle and Spokane High incomes in the Seattle metro area are not enough to make homes affordable for most families And low home prices in Spokane are not enough to compensate for low incomes in the metro area Source: National Association of Home Builders Metro Median Sales Price Median Family Income Affordable for median income families Rank Seattle $234,000 $77, % 133 Spokane $125,000 $46, % 126 U.S. Average $160,000 $54, % Result: Both metros are among the worst in the country in terms of home affordability

34 Principle Three: Housing Markets are Regional Example: The Seattle metro area The Seattle suburbs have increased by over 250,000 more people than the city 400, , , , ,000 city suburb 346, , ,000 Population increase, Source: Living Cities Census Series 100,000 50, ,413 47,

39 Policy Response: Housing markets are regional Housing policies should be, too Do not cluster affordable homes in low-income neighborhoods, especially in the core Enable low-income households to live closer to employment centers and better schools Aim for this instead of this

44 Policy Response Eliminate or moderate regulatory barriers to affordable housing production -Identify and get rid of regulations that are exclusionary or unnecessary Provide incentives for private developers to produce more affordable housing -Create inclusionary housing policies to improve supply of affordable housing

45 Principle Six: Race Matters Percent of non-asian minority elementary students by school Source: Metropolitan Area Research Corporation

46 Race matters Implement policies that do not reinforce patterns of segregation and discrimination Be aware that color blind policies may not work as intended if segregation and ethnic inequalities are ignored

49 Set clearly defined performance measures Example: Goal Preserve and Expand Affordable Housing Stock Short-term Indicator (1-5 years) Number of units built or rehabbed Number of units improved or upgraded Share of units affordable for range of incomes Long-term Indicators (5-20 years) Number of units affordable to range of incomes Number of physically deficient units Number of overcrowded housing units

50 An example of integrated affordable housing policy: Murphy Park of St. Louis, Missouri Murphy Park Development replaced the original George L. Vaughn High Rises Partnered with corporate and philanthropic groups to improve the local school Aimed to increase economic diversity to promote sustainable economic performance Included townhouses, garden apartments, and single-family homes Murphy Park, Today George L. Vaughn High Rises, 1995

51 An example of integrated affordable housing policy: Murphy Park of St. Louis, Missouri The Results Performance at the local school dramatically improved, with the percent of students reading at their grade level rising from under 20% to 60% The developers were successful at attracting a much more economically integrated community The median household income rose by 18 percent between 1989 and 1999, compared to four percent regionally Private investment in the form of residential and commercial development has since located in the surrounding area

52 Rethinking Affordable Housing Strategies I II What are the housing challenges in Washington State? What is a winning affordable housing playbook? III Where does Washington go from here?

State Tax Credits for Historic Preservation A State-by-State Summary www.nationaltrust.org policy@nthp.org 202-588-6167 Chart last updated: July 2007 States with income tax incentives States that do not

Foreclosures www.rogueinvestor.com Copyright 2014 Rogue Investor Facts about foreclosures! 1.2 million homes are still in the process of foreclosure (January, 2014)! 2009: 1 in 84 homes were in foreclosure

5 RENTAL AFFORDABILITY While affordability has improved somewhat, the share of renter households with cost burdens remains well above levels in 21. Although picking up since 211, renter incomes still lag

STATE OF AFFORDABLE HOUSING IN NORTH DAKOTA 2010 REPORT Sponsored by: EXECUTIVE SUMMARY North Dakota is showing positive growth in a variety of economic factors the lowest unemployment rate in the country,

Your Guide to Real Estate Customs by State First American Title Real Estate Customs by State Yes No State Title Insurance Rates Form of Conveyance State Encumbrance Forms Attorney State or Deed Transfer

March Report on Nevada s Housing Market This series of reports on Nevada s Housing Market is co-presented by the Lied Institute for Real Estate Studies at the University of Nevada, Las Vegas and the State

August 216 Report on Nevada s Housing Market This series of reports on Nevada s Housing Market is presented by the Lied Institute for Real Estate Studies at the University of Nevada, Las Vegas. These reports

July Report on Nevada s Housing Market This series of reports on Nevada s Housing Market is presented by the Lied Institute for Real Estate Studies at the University of Nevada, Las Vegas. These reports

U.S. Home Price Insights Report FEATURING CORELOGIC HPI Through September 2015 with Forecasts From October 2015 CoreLogic HPI National Overview With the September release, the CoreLogic HPI posted a gain

June 214 Report on Nevada s Housing Market This series of reports on Nevada s Housing Market is co-presented by the Lied Institute for Real Estate Studies at the University of Nevada, Las Vegas and the

February Report on Nevada s Housing Market This series of reports on Nevada s Housing Market is co presented by the Lied Institute for Real Estate Studies at the University of Nevada, Las Vegas and the

March Report on Nevada s Housing Market This series of reports on Nevada s Housing Market is co presented by the Lied Institute for Real Estate Studies at the University of Nevada, Las Vegas and the State

Change and Challenges East 's Affordable Housing Problem Harold D. Hunt and Clare Losey March 2, 2017 Publication 2161 The rapidly rising price of single-family homes in East has left homeownership out

Nevada Single Document Rule Nevada Law Nevada law requires that all agreements in a motor vehicle retail installment transaction be contained within a single document. Further, in a consumer transaction,

CITY OF VALDOSTA, GEORGIA ANALYSIS OF IMPEDIMENTS TO FAIR HOUSING CHOICE Prepared for: City of Valdosta, Georgia Ms. Mara S. Register, Assistant to the City Manager Public Involvement Department 300 North

Post-Katrina housing affordability challenges continue in 2008, worsening among Orleans Parish very low income renters Based on 2004, 2007 and 2008 American Community Survey data from the U.S. Census Bureau

Centre for Urban and Community Studies Research Bulletin #2 August 2001 A Tale of Two Canadas Homeowners Getting Richer, Renters Getting Poorer Income and Wealth Trends in Toronto, Montreal and Vancouver,

Homes That Last: Introduction to Shared Equity Homeownership Shared Equity Homeownership What is counter-cyclical stewardship? What is shared equity homeownership? Features that distinguish this sector

MONROE COUNTY HOUSING NEEDS ASSESSMENT PREPARED BY: FLORIDA INTERNATIONAL UNIVERSITY THE METROPOLITAN CENTER FOR: THE PARTNERSHIP FOR COMMUNITY HOUSING INTRODUCTION Overview and Methodology Tasks Labor

Where Will Our Workers (or Children) Live? Maintaining a Balanced Community and Meeting Downers Grove s Housing Needs Introduction What is affordable housing? What is the housing shortage facing Downers

Examining Recent Declines in Low-Cost Rental Housing in Atlanta, Using American Community Survey Data from 2006-2010 to 2009-2013: Implications for Local Affordable Housing Policy Dan Immergluck 1 October

MedicaidEligibility Planning FamilyAssets htp:/www.familyassets.com Protecting Your Home From Medicaid Claw back Table of Contents: 1. Introduction 2. How does it work? 3. Who is it for? 4. How do I begin

Housing Affordability Versus Location Affordability The Rent s Too Damn High! But the Metrocard Is a Pretty Good Deal How much more would you pay for an apartment just a short walk from your job than for

Chapter Three Housing Introduction Housing is not only a basic human need; it is a fundamental building block in the development of strong communities. The quality, price and availability of housing have

December 2009 From the Desk of Renee Carnes-Rook Vice President, Real Estate Services Talk about going back to the basics. Getting homes sold both through effective marketing of employees' homes and successful

Briefing Book State of the Housing Market Update 2014 San Francisco Mayor s Office of Housing and Community Development August 2014 Table of Contents Project Background 2 Household Income Background and

Detroit Neighborhood Housing Markets Market Study 2016 In 2016, Capital Impact s Detroit Program worked with local and national experts to determine the residential market demand across income levels for

Quarterly Housing Market Update An Overview New Hampshire s current housing market performance, as well as its overall economy, is slowly improving, with positives such as increasing employment and rising

The Sadowski Act SHIP Program: What s Happening Now The Sadowski Act Local Housing Trust Fund monies fund the local SHIP program in all 67 counties and 50 entitlement cities in Florida. Having a dedicated

CITY OF CORPUS CHRISTI, TEXAS ANALYSIS OF IMPEDIMENTS TO FAIR HOUSING CHOICE Prepared for: City of Corpus Christi, Texas City of Corpus Christi Community Development Division of Neighborhood Services Department

A Policy for Wellington City Council s SOCIAL HOUSING SERVICE May 2010 1. Introduction Wellington City Council is committed to the provision of social housing at below market rents for those households

3( Community Plan Housing Element 2013 2021 (April 30, 2013 April 30, 2021) Adopted by City Council Resolution No. 2013-27 on May 20, 2013. Certified by the California Department of Housing and Community

Myths and Stereotypes about Affordable Housing MYTH: Affordable housing will drive down property values. REALITY: Repeated research has shown that affordable housing has no negative impact on the price

Our Commitment to Fair Housing Montgomery County, Pennsylvania HUD Urban County Montgomery County is a recipient of federal Community Development Block Grant (CDBG) and Home Investment Partnership (HOME)

Affordable Housing Bonus Program Public Questions and Answers - #2 January 26, 2016 The following questions about the Affordable Housing Bonus Program were submitted by the public to the Planning Department

The Affordable Development Conundrum September 2016 A new, interactive data tool from the Urban Institute and National Housing Conference helps explain one of the industry's Catch-22s: Why developers can't

EXECUTIVE SUMMARY You currently have 5,267 listings, and you are subscribed to 61 publishers. 3 of your brokers currently have a paid subscription to ListHub. You currently have 93 registered brokers using

The American Housing Survey Suburbs and the 2010 Census George Mason and Hofstra Universities July 2011 Topics About the American Housing Survey (AHS) Accessing the AHS Public versus Internal Use Files

Rents Up, Steady Kansas City s apartment market closed 2014 with a significant increase in rents compared to the prior year. The average per-square-foot rent was $0.88. At the end of 2013 it had been $0.85.

Subject Property SANFORD, FLORIDA Just Brakes in Strong Retail Area in Greater Orlando MSA 15 Percent Bumps in Rent Every Five Years Located on U.S. Highway 17-92, with Traffic Counts Averaging Over 32,000

Case Study The Absence of Minority Concentration Assessments in the Low Income Housing Tax Credit: An Empirical Data Case Study of Durham, North Carolina by Diane M. Standaert The Low Income Housing Tax

EQUITABLE DEVELOPMENT CITY OF BROOKLYN PARK Elizabeth Dressel, Elizabeth Showalter, Jared Staley, Mustafa Omar, and Sarah Strain This work is licensed under a Creative Commons Attribution-NonCommercial